OPEC ignores Biden plea, cuts oil production by 2 million barrels per day

by WorldTribune Staff / 247 Real News October 5, 2022

OPEC on Wednesday announced plans to cut production, ignoring appeals for relief from Team Biden, weeks ahead of the midterm elections.

Fist bump fail: Joe Biden’s team has been shot down in its attempts to persuade OPEC not to cut production.

In its condemnation of the OPEC decision, the White House said the Energy Department in November will release another 10 million barrels from the Strategic Petroleum Reserve, which is already at its lowest stockpile levels in nearly four decades.

OPEC and non-OPEC allies, a group referred to as OPEC+, decided at their first face-to-face gathering in Vienna since 2020 to reduce production by 2 million barrels per day starting in November.

The decision by OPEC is expected to cause gas prices to rise and create more financial difficulties for the already struggling U.S. economy. In an attempt to avoid further damage to Democrats’ already fading hopes in the November midterms, Team Biden had hoped to persuade the oil cartel not to cut production.

The U.S. average price for a gallon of gas rose by more than five cents from last week to $3.83 on Wednesday, according to data from AAA.

Patrick De Haan, founder of gas price monitor GasBuddy, predicted in a tweet that OPEC’s production cut will increase U.S. gas prices by “roughly” $0.15 to $0.30 a gallon.

Earlier this year, Joe Biden traveled to Saudi Arabia but failed to secure any firm cooperation commitments on energy while being widely mocked for a feeble fist-bump with Saudi Crown Prince Mohammed.

U.S.-Saudi relations have been further strained as Saudi Arabia has not condemned Russia’s invasion of Ukraine. Another irritant for U.S.-Gulf state ties has been Team Biden’s push for a revived Iran nuclear deal at the behest of powerful Obama advisors.

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